Less than three weeks after its launch, the decentralized social network Friend. tech has already been declared “dead” by critics following a drop in key signs such as activity, inputs and volume.
Friend. tech unveiled an animated beta on Coinbase’s Layer 2 base on Aug. 11. A week later, its fees topped one million in 24 hours on Aug. 19, surpassing Uniswap and the Bitcoin network.
However, their prices have since skyrocketed. Daily rates peaked at $1. 7 million on Aug. 21, but fell more than 87% to about $215,000 on Aug. 26, according to DefiLlama.
Transactions in Friend. tech also declined by more than 90% from the peak of about 525,000 on Aug. 21, with just over 51,000 transactions on Aug. 27, according to Dune Analytics data compiled through Crypto Koryo, leading to many other people on X (Twitter). ) to offer their condolences to the network.
QEPD FriendtechAugust 2023-August 2023 pic. twitter. com/Fb0bh23Fyo
Friend. tech focuses on buying and promoting “keys” that allow the customer to send personal messages to the seller, and the platform gets a 5% discount.
It has attracted crypto and non-crypto influencers, UpOnly podcast host Combie, YouTuber Faze Banks, and Russian protest organization Pussy Riot.
In an Aug. 27 X article, Lisandro Rodriguez, head of payment threats at Coinbase, said the platform was “dead” due to “greed and poor execution. “
The friendly generation died from greed and poor execution. We can see this after the initial volume of the influencer bomb fell off a cliff. Let’s see how this failure happened pic. twitter. com/WDQncTQJ21
Along with declining rates, distributors also fell: Between 10,000 and 7,800 distributors were registered on Aug. 27, from the Aug. 21 peak of more than 58,000 and 27,000 distributors, according to Dune data.
Dune shows that admissions have also fallen from the Aug. 21 high of $16. 8 million, Friend. tech recorded about $1. 6 million on Aug. 27, a cut of nearly 90. 5 percent.
Before last week’s crash, some members had already shared their bearish predictions for the platform.
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Last week, crypto commentator Yazan explained to Cointelegraph the points that led him to Friend. tech six to 8 weeks before seeing a drop in user key costs and activity.
Yazan said the value increases of user keys were not sustained and wondered why so many other people would pay more than 1 Ether (ETH) “to be able to watch a personal chat. “
The platform drew parallels with the BitCloud DeSo 2021 app, and Web3 marketer’s pseudonym, Legendary, believes Friend. tech will “cave in like BitClout did. “
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